Coins DIG

A California man has been arested in connection with the sale of $300,000 of fraudulently altered Morgan dollars in tampered Professional Coin Grading Service holders.

“Genuine, common date Morgan dollars were split into two pieces, then adhered to each other in combinations to create the illusion of rare dates and mintmarks,” said Stephen Mayer, chief operating officer of Collectors Universe, the parent firm of PCGS.

“The coins then were placed in tampered PCGS holders to give the coin credibility in the marketplace and to hide the alterations,” he said.

The coins were split front and back along the rim, with the new seam hidden by the altered holders.

Among the fraudulent alterations were “1883-S,” “1884-S” and “1903-S” that were deceitfully labeled as PCGS MS65, MS63 and MS64, respectively, Mayer said.

PCGS notified Northern Califonia law enforcement authorities after being alerted on Sept. 21 about suspicious coins by PCGS-authorized dealer Spectrum Numismatics of Irvine, Calif.

Mayer contacted the U.S. Secret Service and also provided Alameda Police Department investigators with detailed information about the altered coins, the altered PCGS holders and six California dealers who had purchased or were offered counterfeit or suspicious coins that reportedly were originally offered or sold by the same seller.

Roberto Blas Rodriguez, 32, of Hayward, Calif., was arrested Oct. 7 and charged with fraud, suspicion of burglary and violating trademark law, and is free on $45,000 bail, PCGS said.

Investigators are trying to determine if the suspect manufactured the fakes or was only selling them from another, unknown source either from the United States or elsewhere, PCGS added.

Source: numismaster.com